Essex Crossing Closes on $200 Million Loan For 26-Story Tower
The developers of the Essex Crossing mega project have locked in a $200 million loan from Wells Fargo and M&T Bank for their 26-story building at 180 Broome St.
Delancey Street Associates, the group building the 1.9 million square foot project, announced this afternoon that it had closed on a construction loan for the residential, office and retail tower. 180 Broome St. (at Clinton Street) is located on site 4 of the former Seward Park Urban Renewal Area (SPURA).
Construction will begin on the tower later this month. The Lower East Side Partnership just cleared commercial vehicles from a parking lot it managed on site 4 for many years. Construction fencing will start to go up this week. [Traffic will be re-organized around the site to accommodate the new fencing.]
There will be 263 rental apartments at 180 Broome (121 designated affordable by the city), 175,000 square feet of office space on floors 2-5, ground floor retail space and part of the Market Line retail complex on the lower level. The tower is expected to cost a total of $300 million, with the new loan and equity from Delancey Street Associates and the Goldman Sachs Urban Investment Group funding construction. Goldman Sachs has now committed around $500 million to Essex Crossing (the entire project is expected to cost slightly over $1 billion to develop).
The first residents of Essex Crossing are in the process of moving into an affordable senior building at 175 Delancey St. More tenants will begin occupying apartments in a second building at 145 Clinton S. this month. The project will eventually include more than 1,000 apartments, around half of them affordable, along with a 14-screen Regal movie theater, a Trader Joe’s, a Target store, a newly expanded Essex Street Market, a medical center from NYU Langone and the International Center of Photography.
The building on site 4 was designed by Handel Architects. It’s scheduled for completion in 2020. The last remaining parking lot on the SPURA site will be emptied out by the middle of this month in anticipation of construction on Essex Crossing site 3. The development group is made up of BFC Partners, L+M Development Partners and Taconic Investment Partners.